Fund & Grow Financing

Fund & Grow Financing

Justin SheleyBusiness Member
Investor · Rockford, IL · Member since 2016 · 94 posts · 220 votes

After listening to the Clayton Morris podcast (EP115 with Mike Banks) about the company Fund & Grow, I became intrigued with the idea of using business credit cards to buy rental properties using the BRRRR method. The whole concept seemed too good to be true, so I hopped on BiggerPockets to see what people were saying about Fund & Grow. I always find great content here, and more often than not I find the answer to my question before I even need to post and ask about it. However, with Fund & Grow, I didn't find much. (If anyone knows of a discussion about Fund & Grow that I didn't find please link me to it) There are a few discussions where people were considering using Fund & Grow to finance a deal, but none that I saw that went all the way through the process and used the funds to find a deal.

That being said, I decided to start this discussion post and share my experience with the company from day 1 till I refinance and hopefully complete the BRRRR method.

For anyone not familiar with Fund & Grow, they are a company started by Ari Page that helps you establish business lines of credit for the purpose of creating working capital for small businesses. In my case, I will be using the line of credit to buy properties in Rockford, IL and rehab them into rental properties.

Phase 1:

Currently I have enrolled with Fund & Grow and completed my initial consultation. This cost $3,000 for their service of negotiating and securing the business credit cards. I spent 1 hr on the phone with a very friendly consultant and discussed my plans for the business credit and established a sole proprietorship for both my wife and I. This allows the business lines of credit to not affect my personal credit score.  The first push for business credit will begin next week, and I should have access to an anticipated 60k by the following week. My wife is not currently receiving accounts yet until a more established credit history can be created for her.  We are currently lining up several refinancing options with banks in the area so that they are aware of what we intend to do. Currently we are being told that we can refinance the properties we buy with cash after 6 months. This is key for us, because we intend to buy and hold these properties and do not want to get stuck after the initial 12 months of 0% interest expires on our business credit cards.

Phase 2 is going to be actually receiving the cash into our account and making our cash purchase. I tried for brevity sake to not go into the entire Fund & Grow concept in my initial post, but if anyone has any questions, comments, or concerns I'd love to discuss them.

43Reply
12,089 views

Most Popular Reply

Lender · Peabody, MA · Member since 2015 · 82 posts · 49 votes
9y
I used a similar system to receive roughly $40,000 in credit cards at 0% for a 12 month period. The company I used took 10% upfront and then helped me liquidate everything so I had usable funds fairly quick. I was able to do a flip with the funding I received and pay back all the money before my interest free period ran out. It was expensive, but the flip more than covered everything and I was able to get in the game. I would do it all over again if I had to.
See this reply in the discussion

885 Replies

Jump to latestLatest
  • Investor · Youngstown, OH · Member since 2017 · 2k+ posts · 2k+ votes
    7y

    I did F&G, got through 1 round of funding, and am not sure if I'll do it again. If the price was lower and the customer service was better, it would be a no-brainer. But for what you have to pay, you shouldn't have to go to another company to get the inquiries removed. They should be doing that for you. 

  • Bound Brook, NJ · Member since 2018 · 171 posts · 37 votes
    7y

    @Jared Broderick

    When you buy good and then sell it, do you have to pay taxes on the profit?

  • Member since 2018 · 30 posts · 4 votes
    7y

    @Drew Cameron

    Is it possible and smart to use Fund and Grow to pay down primary house mortgage and then take HELOC out which has no interest to pay down Fund and Grow?

  • John S LewisPro Member
    Jackson, NJ · Member since 2017 · 167 posts · 48 votes
    7y

    I've been working with Brandon at F&G for over a year.  He is very attentive, and responds to my emails usually within 24 hours.  I didn't get all the credit I was hoping for, but I wouldn't have gotten what I did get without F&G.

  • California, CA · Member since 2019 · 1 post · 1 vote
    7y

    I heard about Fund & Grow via Clinton Morris investment videos. My husband and I currently have a triplex and a single-family home in our portfolio. When we bought the SFH with intentions to build a second dwelling unit in the backyard (1 bed/1 bath approx. 500 sq ft). We already have a LLC so we didn't have to form a new one and I was the only one that signed up for Fund & Grow. I paid $3000 for their services. The first round I received $21,900 personal and $49,000 business credit cards (two credit cards). I signed up on Venmo using the business credit card. We have two different checking accounts, so we were able to send money to each other using the business card. I just finished my second round and requested only business credit this time which came to a total of $56,500 (four credit cards). I'm using the funds to pay for the SDU which should be $45K (not including permit/taxes) and then I'm planning on pulling a Home Equity Loan where I will payoff the credit cards and use any additional funds to invest into my next deal.

    Some additional information, during this process I did learn that most business credit does not appear on your credit report with the expectation of the initial inquiry. Capital One business card does report on your personal credit so this may impact your credit score. I started using Capital One since it had $30K but the zero interest rate has expired, I transferred the money to Flagstar Business card which they do not report on your personal credit. Also, Venmo charged 3% so you pay ~$90 per $2999 transaction. I recommend setting your account with Venmo as soon as possible because there is a waiting period where the spending allowance is $300 per week but I think after a month the weekly spending limit increases to $2999.

  • Rental Property Investor · Ohio. · Member since 2019 · 5 posts · 2 votes
    7y

    Before I started following Morris invest and became a deciple of Dave Ramsey. Dave Ramsey showed my wife and I the importance of become debt free and putting yourself on a budget.  

    I was introduced to Clayton and Natalie Morris through a commercial on fox news. I searched Morris invest on YouTube. It was a blessing to follow him and learn about bad debt and good debt. I have a line of credit with another bank and bought my first rental for 18k. I war taught by his video on what is the most important repairs you do on your home. I put another 18k into using other people's money. Upgraded the roof, plumbing, electrical, waterheater and windows. Rented it out for $750 a month. Using clayton ROI formula that 15%. GREAT NEWS for first home. Bought a duplex 3 months later same thing.

    Clayton talked about fund and grow on one of his podcast.  I called them and I got scared because of the $3000 cost.  It took me a couple more months of listening to the podcast before my wife and I agreed on the investment.  We were glad that we  did enroll. 

    The people at fund and grow are the best. After following there plan and always there for us to answer all of our questions. On our first round they cost us business credit closer to $200k. 

    Just like on the other post you need tol follow fund and grow direction.  They report to the credit bureau in your first round of credit card then you transfer your personal cards to business cards.  I can talk all day about them but just enroll and watch what they can do. 

    Can't wait to see what round 2 does for my company.  

    Thanks F&G

  • Member since 2019 · 34 posts · 12 votes
    7y

    Okay, so I have a few BP posts under my belt so hopefully people won't think I'm a fake account :). I'm about 45 days into the process and so I'm satisfied with the results. After reading quite a bit of posts here I think some important information is being left out so I hope others can include it when posting.

    • Credit obtained- So far I have received $62,500 across 4 business cards and one personal credit card (I got a mixture due to me only have two CC's before applying and I never carry a balance for those cards)
    • FICO scores are in the low 800's
    • Household income- I'll just say that I'm in the technical field and its good :)

    I know this is a REI forums but before I commited to using Fund & Grow I also considered using these cards for other avenues of passive income (Amazon FBA and internet marketing).

  • Rental Property Investor · Louisville, KY · Member since 2017 · 10 posts · 7 votes
    7y

    From day 1 F&G give you the option to pay them a flat fee or a percentage of the money they negotiate on your behalf. The reason I love this company is because their customers service is top notch and they deliver what they promised.When we started the process a year ago we didn't have more than 3500 that we pay them. During this year they got us over 120k in unsecured business line of credit. In that way we were able to purchase more than 10 rentals. Depending on how you get the money out of your CC you should not pay more than a one time fee of 3%. This fee and the upfront fee of 3500 is close to nothing when you take In consideration all the deals you can buy with that money using over and over again the BRRRR method. For the ones concerned about refinancing the properties don't worry. This Unsecured lines of credit doesn't show on your personal credit report. So the banks doesn't have a way to know about that debt. To the eyes of the bank you just purchased them with cash.

  • Tampa, FL · Member since 2014 · 2 posts · 0 votes
    7y

    This Review is for Fund&Grow's consolidation assistance department. Fund&Grow Amazing Rep Ms Veronica was completely awesome in consulting and providing workable options for consolidation, all the while fun, awesome, polite and professional. I highly recommend fund & grow for your business credit needs, also more importantly, all the way through the process until I can get the funding for my dream companies.

  • Member since 2019 · 9 posts · 1 vote
    7y

    Heard about this company through a real estate investment company I've been following.  Decided to call them and have some questions answered, and they did an amazing job!  Christy, Amanda, and Brandon are exceptional people with excellent customer service.  I was "hand-held" through my first round and currently have a total of $21K in 0% interest, unsecured Business Lines.  Looking forward to round 2 and hoping to get that total up!  Thoroughly satisfied thus far.

  • Member since 2019 · 1 post · 0 votes
    7y

    I am very pleased with the business credit that I received through Fund & Grow.  Sabrina U was exceptional, as she managed my 2nd & 3rd rounds of funding.  Now that I am a believer, I am interested to learn more about real estate investing opportunities.

  • Rental Property Investor · Atlanta, GA · Member since 2014 · 14 posts · 7 votes
    7y

    For anyone that's partnered with Fund & Grow for financing, do you have any ability to choose which business cards to apply for? If you had an interest in specific business cards from Chase, AMEX, whoever, are you able to do that???

  • Member since 2019 · 34 posts · 12 votes
    7y
    Originally posted by @Avery Coleman:

    For anyone that's partnered with Fund & Grow for financing, do you have any ability to choose which business cards to apply for? If you had an interest in specific business cards from Chase, AMEX, whoever, are you able to do that???

    I did not have the ability to choose which cards they applied for but they do ask if you have any existing relationships with any banks (i.e., mortgage through Bank of America).

  • Rental Property Investor · Atlanta, GA · Member since 2014 · 14 posts · 7 votes
    7y
    Originally posted by @Tim Buckingham:
    Originally posted by @Avery Coleman:

    For anyone that's partnered with Fund & Grow for financing, do you have any ability to choose which business cards to apply for? If you had an interest in specific business cards from Chase, AMEX, whoever, are you able to do that???

    I did not have the ability to choose which cards they applied for but they do ask if you have any existing relationships with any banks (i.e., mortgage through Bank of America).

     Thanks Tim!

  • Member since 2017 · 1 post · 0 votes
    7y

    I am very pleased that I gave Fund and Grow a call. I was assigned to work with Bianca Rivera, and it was a great fit. Bianca was very professional and easy to work with. I was amazed at how quickly she helped me obtain financing for my RE Investment business. Within a very short time I exceeded the funds we were hoping for I received $99,000 with my first round. The funding has helped with marketing, purchasing, and I am able to rehab multiple homes for future business. I appreciate Fund and Grow, and Bianca Rivera for helping me achieve financial goals and making the experience with the Fund and Grow very successful. I am looking forward to continued success with Bianca Rivera and Fund and Grow!

  • New to Real Estate · Member since 2019 · 1 post · 0 votes
    7y

    Donna F from Fund & Grow was absolutely amazing, very helpful and kept me updated throughout the process of securing business credit. Special thanks to Christy also! In a few weeks, Donna was able to secure multiple 0% interest cards. I have and will continue to recommend their service.

  • Member since 2019 · 1 post · 0 votes
    7y

    Clayton Morris (Morris Investments Podcast) introduced my husband and I to Fund and Grow.   We signed up and boy do they deliver!   Although both of us applied, we were only charged a single fee.  We were each individually assigned an account Manager (Abe worked with Jason and I worked with Donna).  Both were highly informative and made the whole process easy.  Between the both of us, we acquired almost $200,000 in business credit card lines with zero percent interest.  WOW!!    

    We have been successfully using the funds to open our AirBNB business.  Big thanks to Donna and Jason at Fund and Grow.  

  • Rental Property Investor · Ohio. · Member since 2019 · 5 posts · 2 votes
    7y
    Originally posted by @Avery Coleman:

    For anyone that's partnered with Fund & Grow for financing, do you have any ability to choose which business cards to apply for? If you had an interest in specific business cards from Chase, AMEX, whoever, are you able to do that???

  • Rental Property Investor · Ohio. · Member since 2019 · 5 posts · 2 votes
    7y

    Fund and grow got me a large credit line with 5 credit cards but with some cards it's hard to use.  Fund and grow partnered up with plastic. With plastiq you cant use some of these cards to make big purchases, like buying a home.  The credit card company set limits.

  • Member since 2019 · 34 posts · 12 votes
    7y
    Originally posted by @Don Elliott:

    Fund and grow got me a large credit line with 5 credit cards but with some cards it's hard to use.  Fund and grow partnered up with plastic. With plastiq you cant use some of these cards to make big purchases, like buying a home.  The credit card company set limits.

    Curious but what purchases are you trying to make with the cards. Are you stating the you don't have enough credit per card (maxed out)?

  • Member since 2019 · 3 posts · 4 votes
    7y
    After my initial consultation they got the process started. After about 2 months they helped me obtained $134,300.00 just on my first round. Michael who is my consultant has been guiding me through effective utilization and strategies in using the funds. With these funds I was able to speed my real estate acquisition.
  • Member since 2019 · 34 posts · 12 votes
    7y

    I'm starting to agree with some of the past comments. This is just a glowing review of the service thread. I'll agree that I pulled the trigger in working with Fund & Grow but I'm looking for more experiences for what people have done with their funds (creative ways to use them).

  • Member since 2019 · 5 posts · 0 votes
    7y

    My brother and I are using Fund and Grow to buy whole life insurance and then using the money to invest in a fourplex.

  • Rental Property Investor · Oakland, CA · Member since 2018 · 19 posts · 16 votes
    7y
    Originally posted by @Erick Barraza:

    My brother and I are using Fund and Grow to buy whole life insurance and then using the money to invest in a fourplex.

    @Erick Barraza 

    Can you explain how you turn while life insurance into real estate?  I am under the impression that insurance has to mature for a number of years before you can cash out.  

  • Member since 2019 · 5 posts · 0 votes
    7y

    If you get it structured correctly (a big IF) you can get money within 24 hours after the premiums clear. For instance, MassMutual has a high early cash value policy that can be structured 10/90. As in 10% of the premium payment goes towards the death benefit and 90% goes toward the cash value. So if you sent 10k to MassMutual you can get 9k within 24 hours. Meanwhile the 10k is growing immediately at 5-6% tax free. This leverages unsecured lines of credit to get a growing secured line of credit with a low interest rate. Hence the term "infinite banking" concept.

Join the conversationCreate a free account to reply, vote on answers and follow this thread.